28 Jun 2017

Tonga, heavily indebted, lays out $263m budget

7:33 pm on 28 June 2017
The old Tongan parliament buildings

The old Tongan parliament buildings Photo: RNZ Pacific/Koro Vaka'uta

Tonga's government has laid out a budget of US$263 million dollars for the 2017/2018 year.

The finance minister Tevita Lavemaau said US$167 million will be government raised revenue, with the balance, US$98 million, from development partners.

The minister also told parliament that Tonga owes $US207 million dollars, or 52 percent of the GDP.

The bulk of this is owed to China's Exim Bank for the cost of rebuilding Nuku'alofa after the 2006 riots.